Sixt Se · XETR:SIX2
Sixt — Q2 2024 Earnings Presentation
28 slides from Sixt's earnings presentation, August 2024
Slide 1: Sixt SE Q2 2024 Earnings
SIXT SE Q2 2024 EARNINGS SECOND TEXT LEVEL: LOCATION, MONTH 20XX
Slide 2: Legal Disclaimer
LEGAL DISCLAIMER This presentation (together with the presenters’ speeches delivery of the Presentation nor any further discussions of and neither the Company nor any of its directors takes any and any other related verbal or written communications the Company with any of the recipients thereof shal
Slide 3: First Q2 in history with more than EUR 1bn revenue
FIRST Q2 IN HISTORY WITH MORE THAN EUR 1BN REVENUE RETURN ON PROFITABILITY TRACK IN ONLY ONE QUARTER REVENUE EBT [EUR m] [EUR m] +EUR 227.5 m +EUR 90.4 m 1,007.7 62.9 780.2 -27.5 Q1 2024 Q2 2024 Q1 2024 Q2 2024 Q2 2024 EARNINGS PRESENTATION | AUGUST 2024 3
Slide 4: We delivered on our top- and bottom-line measures
WE DELIVERED ON OUR TOP- AND BOTTOM-LINE MEASURES, INDICATED IN OUR Q1 2024 EARNINGS CALL Q2 2024 EARNINGS PRESENTATION | AUGUST 2024 4
Slide 5: Top-line measures
TOP-LINE MEASURES Q2 2024 EARNINGS PRESENTATION | AUGUST 2024 5
Slide 6: High demand, exceptional fleet and extended network: key for long-term top line performance
HIGH DEMAND, EXCEPTIONAL FLEET AND EXTENDED NETWORK: KEY FOR CONTINUING OUR LONG-TERM TOP LINE PERFORMANCE FLEET REVENUE [avg.#] EUR m 12.6% 10Y CAGR 12.8% 166,300 187,200 60.7% 8.9% 1,008 Q2 2023 Q2 2024 925 BRANCHES 744 [#] 627 529 501 433 465 376 >30 branch openings in H1/24 303 229 B2C, B2B AND
Slide 7: Our internationalization strategy in action
OUR INTERNATIONALIZATION STRATEGY IN ACTION GROWTH IN ALL SEGMENTS DRIVEN BY NETWORK EFFECTS GERMANY EUROPE NORTH AMERICA +4% +1% +27% vs. Q2 2023 +21% vs. Q2 2023 +51% vs. Q2 2023 +157% vs. Q2 2019 vs. Q2 2019 vs. Q2 2019 Q2 2024: EUR 286 million Q2 2024: EUR 401 million Q2 2024: EUR 319 million Q2
Slide 8: Continued expansion in North America
WORLD’S LARGEST CAR RENTAL MARKET: CONTINUED EXPANSION IN NORTH AMERICA >100 BRANCHES YVR SEA 49 U.S. AIRPORTS YYZ MKE BOS 6 NEW U.S. AIRPORT BRANCHES AND PDX MSP JFK, EWR, LGA 9 NEW DOWNTOWN BRANCHES SLC PHL ORD PIT BWI ALREADY OPENED SO FAR IN 2024 SFO DEN IAD DCA EGE IND, UMP SJC ASE CVG RDU LAS
Slide 9: We accelerate as a premium brand with luxury and high value customer experiences
WE ACCELERATE AS A PREMIUM BRAND WITH LUXURY AND HIGH VALUE CUSTOMER EXPERIENCES: FROM ADVERTISING TO FINAL RENTALS 1 EXCLUSIVE PORSCHE REALIZATIONS IN DE 2 ICONIC USA ACTIVATIONS 3 PREMIUM PARKING EXPERIENCE 4 NEW BRANCH DESIGNS Q2 2024 EARNINGS PRESENTATION | AUGUST 2024 9
Slide 10: Bottom-line measures
BOTTOM-LINE MEASURES Q2 2024 EARNINGS PRESENTATION | AUGUST 2024 10
Slide 11: Outcome of our performance measures: record EBITDA in Q2 2024
OUTCOME OF OUR PERFORMANCE MEASURES: RECORD EBITDA IN Q2 2024 EBITDA +13.2% [EUR m] 384.2 339.6 287.7 209.8 182.4 165.8 152.8 132.3 104.8 93.2 13.2 Q2 2014 Q2 2015 Q2 2016 Q2 2017 Q2 2018 Q2 2019 Q2 2020 Q2 2021 Q2 2022 Q2 2023 Q2 2024 Q2 2024 EARNINGS PRESENTATION | AUGUST 2024 11
Slide 12: Our general approach to manage residual value risks
OUR GENERAL APPROACH TO MANAGE RESIDUAL VALUE RISKS HIGH NON-RISK infleet ratio of 79%1 in Q2 2024 OEMs ↗ No residual value risk DIVERSIFIED ↗ Pre-defined prices SALES ORGANISATION ↗ Highly predictable cash generation ↗ Best price for Sixt ↗ Low dependency Auctions ↗ High volume ↗ Fast cash generati
Slide 13: Residual values have been declining significantly
FOLLOWING THE END OF VEHICLE SHORTAGES RESIDUAL VALUES HAVE BEEN DECLINING SIGNIFICANTLY USED CAR PRICE DEVELOPMENT [Index 2021 = 100] EUROPE¹ U.S.² GERMANY³ 150 145 140 135 130 2024 YTD DEVELOPMENT 125 -2.7% 120 115 -2.7% 110 -3.9% 105 -4.5% (Manheim Rental Risk Index) 100 95 90 01/21 03/21 05/21 0
Slide 14: Our European fleet: low risk share compared to competitors
OUR EUROPEAN FLEET: LOW RISK SHARE COMPARED TO COMPETITORS EUROPE - FY 2023 RISK SHARE* [%] 13% 40% 44% 56% 60% 87% Risk Non-Risk Risk Non-Risk Risk Non-Risk Q2 2024 EARNINGS PRESENTATION | AUGUST 2024 *SIXT: share of vehicles (incl. Van & Truck, excl. URG,GAP,DVR) in Europe (infleeted in FY 2023) c
Slide 15: Our European fleet: further reduction of risk vehicles
OUR EUROPEAN FLEET: FURTHER REDUCTION OF RISK VEHICLES AFTER INTERIM INCREASE EUROPE - SHARE OF RISK VEHICLES INFLEETED* EUROPE - RISK VEHICLES IN FLEET [%] [#] 30 Germany Risk Vehicles (incl. V&T) Europe Risk Vehicles C&B 25 20 15 10 5 <2% 0 Q1 Q3 Jan.- März- May- Jul- Sep- Nov- Q1 2022 Q3 2022 Q1
Slide 16: Our NA fleet: lower risk share than competitors
OUR NA FLEET: LOWER RISK SHARE THAN COMPETITORS, BUT MARKET IS HISTORICALLY RISK-BASED (NORTH) AMERICA - FY 2023 RISK SHARE* [%] 1% 1% 25% 75% 99% 99% Risk Non-Risk Risk Non-Risk Risk Non-Risk Q2 2024 EARNINGS PRESENTATION | AUGUST 2024 *SIXT: share of vehicles in the segment North America (infleete
Slide 17: Our NA fleet: reduction of risk exposure and vehicle costs
OUR NA FLEET: REDUCTION OF RISK EXPOSURE AND VEHICLES COSTS THROUGH TARGETED MEASURES Remarketing Optimized purchasing High quality Fleet initiatives conditions fleet cycling Remarketing initiatives to Higher level of purchasing Young & low mileage premium Cycle out older vehicles with achieve optim
Slide 18: Accelerated fleet cycling: increasing share of infleets
ACCELERATED FLEET CYCLING: INCREASING SHARE OF INFLEETS COMPARED TO OUR FLEET SIZE VEHICLES INFLEETED AS % OF TOTAL FLEET [%] 43.3% 36.4% Q2 2023 Q2 2024 Q2 2024 EARNINGS PRESENTATION | AUGUST 2024 18
Slide 19: Our BEV fleet: aligned with changed market environment
OUR BEV FLEET: ALIGNED WITH CHANGED MARKET ENVIRONMENT AVG. FLEET SIZE (TOTAL), BEV SHARE (RISK AND NON-RISK) [In 1000 / %] Avg. fleet size 1. We have adjusted the number of BEV share 184.9 BEVs according to customer 40 169.1 demand. 35 150.7 30 2. We have reduced the number of 138.4 25 risk BEVs to
Slide 20: Our pre-tax results and performance compared to peers
OUR PRE-TAX RESULTS AND PERFORMANCE COMPARED TO PEERS Q2 2024 EARNINGS PRESENTATION | AUGUST 2024 20
Slide 21: Revenue growth and operational performance: high residual value effects
REVENUE GROWTH AND OPERATIONAL PERFORMANCE: HIGH RESIDUAL VALUE EFFECTS Higher efficiency, as increase (14.4 %) EBT adjusted by inflation is lower than fleet Higher efficiency, as [EUR m] increase (4.3 %) is increase (12.6 %). proportionally lower than revenue increase (8.9 %). -28.4 -7.1 82.6 Finan
Slide 22: After normalization for residual value effects: EBT almost at Q2 2023 level
AFTER NORMALIZATION FOR RESIDUAL VALUE EFFECTS: EBT ALMOST AT Q2 2023 LEVEL AND CLEARLY ABOVE PRE-COVID ~EUR 15 m EBT* adjustment of [EUR m] positive residual value effects 131.9 129.8 116.7 >EUR 40 m 71.8 73.3 77.9 adjustment of negative residual value effects 54.7 37.1 39.0 43.7 62.9 -117.7 Q2 201
Slide 23: Our competitive strengths proven in volatile, challenging markets
OUR COMPETITIVE STRENGTHS HAVE PARTICULARLY PROVEN IN VOLATILE, CHALLENGING MARKETS Q2 2024 YOY REVENUE GROWTH Q2 2024 EBT [%] [in million / local currency] 8.9 62.9 27.0 -2.4 -3.1 -473.0 Q2 2024 EARNINGS PRESENTATION | AUGUST 2024 23
Slide 24: Outlook update
OUTLOOK UPDATE Q2 2024 EARNINGS PRESENTATION | AUGUST 2024 24
Slide 25: Year 2024, a year of transition: major opportunities and challenges
YEAR 2024, A YEAR OF TRANSITION: LAYING THE FOUNDATION FOR A SUCCESSFUL 2025 MAJOR OPPORTUNITIES Challenges ↗ Positive travel demand outlook for the summer ↗ Geopolitical pressure on global travel demand ↗ Utilization improvements via software-based fleet planning and prudent fleet purchasing. ↗ Unc
Slide 26: Full year guidance: significant revenue growth; EBT on level of market expectation
FULL YEAR GUIDANCE: CONTINUED EXPECTATION OF SIGNIFICANT REVENUE GROWTH; EBT ON LEVEL OF MARKET EXPECTATION EUR 464 m Midpoint Midpoint EUR 373 m EUR 365 m EUR 308 m UPDATED FORECAST FOR FULL YEAR 2024 Significant revenue growth EBT between EUR 340 and 390 million EBT 2019 EBT 2023 LATEST UPDATE
Slide 27: Q&A Session
Q&A SESSION Q2 2024 EARNINGS PRESENTATION | AUGUST 2024 27
Slide 28: Thank you!
THANK YOU! Q2 2024 EARNINGS PRESENTATION | AUGUST 2024 28